| Your Current Location : Correlation : Asset Class Correlation |
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Asset Class Correlation Matrix |
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| The following table shows return correlations between various Asset Classes over the past 3 Years. |
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AC1 |
AC2 |
AC3 |
AC4 |
AC5 |
AC6 |
AC7 |
AC8 |
|
Return |
SD |
| Corporate Bond |
AC1 |
1.00 |
0.99 |
0.28 |
0.86 |
-0.15 |
0.96 |
0.53 |
0.41 |
|
5.88 |
3.03 |
| CRISIL 1 Yr T-Bill |
AC2 |
0.99 |
1.00 |
0.22 |
0.85 |
-0.04 |
0.97 |
0.52 |
0.35 |
|
6.02 |
0.68 |
| Emerging Market |
AC3 |
0.28 |
0.22 |
1.00 |
0.36 |
-0.39 |
0.21 |
0.07 |
-0.29 |
|
0.00 |
341.62 |
| Equity India |
AC4 |
0.86 |
0.85 |
0.36 |
1.00 |
-0.19 |
0.81 |
0.46 |
0.47 |
|
0.00 |
198.49 |
| Gilt 10 years |
AC5 |
-0.15 |
-0.04 |
-0.39 |
-0.19 |
1.00 |
-0.04 |
-0.15 |
-0.37 |
|
0.00 |
10.78 |
| Gold |
AC6 |
0.96 |
0.97 |
0.21 |
0.81 |
-0.04 |
1.00 |
0.56 |
0.30 |
|
0.00 |
14.82 |
| Silver |
AC7 |
0.53 |
0.52 |
0.07 |
0.46 |
-0.15 |
0.56 |
1.00 |
0.06 |
|
0.00 |
514.87 |
| World Index |
AC8 |
0.41 |
0.35 |
-0.29 |
0.47 |
-0.37 |
0.30 |
0.06 |
1.00 |
|
0.00 |
337.78 |
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Note :
- Returns upto 1 year are absolute and over 1 year are compounded and annualised.
- Standard Deviations are calculated on daily return basis for the given period and are annualised.
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Intra-Portfolio Diversification 
Diversification can be quantified as the intra-portfolio correlation. This indicate Percent of diversifiable risk eliminated. |
30.27% |
| Portfolio Return |
1.49% |
| Start Date |
27 Nov 2021 |
| End Date |
26 Nov 2024 |
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| Each cell represents the correlation between the two corresponding assets. |
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| Cell Color |
Description |
Diversification Benefit |
| -1.00 to -0.40 |
Asset pair with negative correlation |
Excellent Diversification |
| -0.40 to 0.00 |
Asset pair with slight negative correlation |
Good Diversification |
| 0.00 to 0.60 |
Asset pair with mild positive correlation |
Moderate Diversification |
| 0.60 to 1.00 |
Asset pair with strong positive correlation |
Poor Diversification |
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